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The perils of democracy

Gregory J. DeAngelo, Dimitri Dubois () and Rustam Romaniuc ()
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Gregory J. DeAngelo: Claremont Graduate University [Claremont, CA ]

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Abstract: In this work we examine a common social dilemma in experimental economics, the public goods game, to determine how voting impacts pro-social behavior. As noted in Markussen et al. (2014), a democratic dividend exists. Couching the public goods game in a phe- nomenon that is playing out in much of the world –drasticincome inequality –weex- amine the decision of groups to share local public goods with groups that have, effectively, no endowment to contribute toward public nor private consumption. Our results show the perils of democracy in that subjects in the position to vote use their advantageous situa- tion to reward the ingroups at the expense of the less endowed outgroup members

Date: 2018-06
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Published in Journal of Economic Behavior and Organization, Elsevier, In press, à paraître, à paraître. ⟨10.1016/j.jebo.2018.06.020⟩

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